Leads are an essential part of the real estate business. Simply put, leads are the name and contact information for a potential client for your real estate business. Much of what real estate agents do daily revolves around finding leads, nurturing them, and then converting those leads into business.
Some might ask, “How do real estate agents get leads in the first place?” Lead generation is a skill that all top-tier agents have spent years cultivating, and it is a skill that every real estate agent should foster.
Today, you will learn more about where leads typically come from, how new agents can start collecting leads, and what happens after gathering this information.
How Do Real Estate Agents Get Leads?
What are leads, and how do real estate agents get them? Leads are the names and contact info for prospective clients.
Real estate agents use this information to stay in contact with potential clients until they are ready to buy or sell a house. One of the skills that real estate agents put a huge focus on is learning how to get real estate leads and how to generate leads in real estate.
How Do New Real Estate Agents Get Leads?
As a new real estate agent, it can feel incredibly daunting to start collecting your own leads. You may not realize that you already have the tools you need to start creating and harnessing leads.
Work through these steps to get started on your lead generation:
- Research leads, popular lead methods, and what agents in your area use to generate leads.
- Reach out to family and friends about your business and encourage them to recommend your name; this is the best place to get your first leads!
- Find ways to meet new people and give out your business cards, such as joining a club, gym, or local organization.
- Make a point to connect with local bankers, loan agents, and insurance sellers; they can keep your info on hand to recommend to clients.
Once you get your first leads as a new agent, make sure you take the time to create or utilize CRM tools. They help you track your efforts to convert leads into sales by nurturing your relationship with clients.
How To Generate Real Estate Leads Passively and Actively
The best way to generate real estate leads is to realize that every interaction that a potential client has with you or your business is an opportunity.
In some cases, those interactions will happen naturally and can be turned into leads with minor action on your part:
- Giving your card to visitors to an open house you are running
- Meeting someone and chatting at the grocery store
- Hearing someone discussing real estate at a party
- Letting your friends and family share your information
These simple lead generation methods rely on your ability to be personable and aware of the opportunity that exists for business in many situations. While there is a difference between being overbearing about your business and being helpful, there is rarely a downside to giving someone your card.
Agents should also learn how to generate real estate leads in less passive ways. There are many ways that you can do this:
- Meet as many other professionals in the industry as possible, such as brokers, loan agents, bankers, flippers, and carpenters.
- Use CRM tools to connect with your former clients regularly; reminding them that you are in business may prompt them to share your info.
- Research the local market to find out where leads may be hiding.
- Pay for a lead generation website to gather extra leads.
- Sign up for local real estate organizations to join their listings.
- Create your own website with a contact form to create your own leads through SEO marketing.
How to generate effective real estate leads is not always apparent to inexperienced agents, but it is not an impossible thing to do. Take time to think about lead generation and what types of generation you want to try. See what works, adjust your plan, and keep fighting to bring in as much business as possible with leads.
Don’t Just Collect Leads
Remember that simply being an expert on how to get real estate leads is never going to be enough to succeed in the real estate business. Leads are just a suggestion of a person that could become a client later on.
Most leads that come your way will be sellers or buyers who aren’t ready to act immediately. Instead, they may be thinking about doing some real estate business down the line. To convert your leads into business, you will need to make sure that you are building up the relationship you have with the leads.
Connecting with potential clients every few months is a great way to remind them that you exist. You can consider setting up an automated email system to send out a monthly newsletter to all of your leads.
This type of newsletter can be information for your prospective clients while also serving to remind them of who you are, what you do, and how you can help them. No matter how you decide to convert your leads, you must take some action. A lead that you do nothing with is a lead that is unlikely ever to convert.
Do Real Estate Agencies Provide Leads?
Since real estate agents operate as independent contractors, most agencies do not have a service to provide leads to their agents directly. That being said, some real estate companies may set up their brokers and agents with specific lead generation software at a reduced price.
In other cases, being involved with a specific real estate brand can set you up for incoming leads from other out-of-the-area agents with that brand. Generally speaking, though, you should not rely on the agency to provide you with leads.
Get involved with the process of learning how do real estate agents get leads and how to generate leads in real estate, and then shape your own lead generation funnel.
Collecting and Generating Leads
Learning the best way to generate real estate leads and convert them is easily the most important skill you must cultivate when working on real estate. Without leads, you have to rely on business happening on you, and working that way is unlikely to be sustainable. Rather than relying on luck, take advantage of comprehensive real estate tools that are available to you.
Companies that offer services to capture leads through a specialized website, nurture those leads with CRM Lite, and then convert them to real business through additional marketing can help a lot. Generating leads is a key skill; make sure that it’s in your toolbox as you push for better business!